Question 1

Using case law examples, demonstrate how the doctrine of frustration has evolved over the last 200 years.

Accepted Answer

The doctrine of frustration has evolved significantly over the last 200 years, as demonstrated by various case law examples. One notable case is Taylor v. Caldwell (1863), where the doctrine was first established. In this case, the court held that a contract could be frustrated if an unforeseen event made it impossible to fulfill the contract's purpose. This decision laid the groundwork for the doctrine of frustration.

Another important case that contributed to the evolution of the doctrine is Davis Contractors Ltd v Fareham Urban District Council (1956). In this case, the court clarified that the frustrating event must not be due to the fault of either party and that the event must fundamentally change the nature of the contract. This case further refined the application of the doctrine of frustration.

A more recent example of the evolution of the doctrine is the case of Canary Wharf (BP4) T1 Ltd v European Medicines Agency (2019). In this case, the court emphasized that the event must be truly unforeseeable and that the parties cannot have expressly allocated the risk of the frustrating event in the contract. This decision further clarified the requirements for frustration and highlighted the importance of foreseeability in assessing frustration.

Overall, these case law examples demonstrate how the doctrine of frustration has evolved over the last 200 years, with courts refining and clarifying its application to ensure fairness and justice in contractual disputes.

Question 2

The absence of privity of contract will not prevent a claim under the Australian Consumer Law.

Accepted Answer

A) True 
 B)False  True

Question 3

Which of the following involves the discharge of a contract by performance?

Accepted Answer

A)  One of the parties becomes bankrupt. 
B)  Each party discharges the obligation of the other to perform the contract. 
C)  The parties carry out exactly the terms of the contract. 
D)  Performance of the contract becomes impossible due to the occurrence of an unforeseen event. 
A)  One of the parties becomes bankrupt. 
B)  Each party discharges the obligation of the other to perform the contract. 
C)  The parties carry out exactly the terms of the contract. 
D)  Performance of the contract becomes impossible due to the occurrence of an unforeseen event. C

Question 4

The decision of the court in Cutter v Powell (1795) 101 ER 573 was that:

Accepted Answer

A)  The contract was divisible and the widow could recover the proportion of the contract amount equal to the number of days that Cutter had completed before he died. 
B)  The contract was entire and hence the widow could recover nothing. 
C)  Cutter's death terminated the contract and the contract was therefore void. 
D)  The widow of the deceased was entitled to payment based on a quantum meruit. 
A)  The contract was divisible and the widow could recover the proportion of the contract amount equal to the number of days that Cutter had completed before he died. 
B)  The contract was entire and hence the widow could recover nothing. 
C)  Cutter's death terminated the contract and the contract was therefore void. 
D)  The widow of the deceased was entitled to payment based on a quantum meruit.

Question 5

If one party indicates that they will not be performing their part of the contract prior to the time for performance, the innocent party must wait until the due date before they can sue for breach.

Accepted Answer

A) True 
 B)False

Question 6

Why did the court find that the contract was frustrated in the case of: Codelfa Construction Pty Ltd v State Rail Authority (NSW) (1982) 149 CLR 337?

Accepted Answer

A)  Due to the declaration of war and the consequent impossibility of performing the contract. 
B)  Due to the non-occurrence of an event essential to achieve the substantial purpose of the contract. 
C)  Due to the fundamental and radical change in the circumstances of the contract. 
D)  Due to the complete destruction of the subject matter of the contract. 
A)  Due to the declaration of war and the consequent impossibility of performing the contract. 
B)  Due to the non-occurrence of an event essential to achieve the substantial purpose of the contract. 
C)  Due to the fundamental and radical change in the circumstances of the contract. 
D)  Due to the complete destruction of the subject matter of the contract.

Question 7

Which of the following involves the discharge of a contract by operation of law?

Accepted Answer

A)  One of the parties becomes bankrupt. 
B)  Each party discharges the obligation of the other to perform the contract. 
C)  One of the parties fails to carry out their obligation completely, and the other party accepts this. 
D)  Performance of the contract becomes impossible due to the occurrence of an unforeseen event. 
A)  One of the parties becomes bankrupt. 
B)  Each party discharges the obligation of the other to perform the contract. 
C)  One of the parties fails to carry out their obligation completely, and the other party accepts this. 
D)  Performance of the contract becomes impossible due to the occurrence of an unforeseen event.

Question 8

If there has been substantial performance of the contract, the doctrine of substantial performance may permit the defaulting party to still obtain the contract price.

Accepted Answer

A) True 
 B)False

Question 9

Which of the following is the best description of discharge by release?

Accepted Answer

A)  A party who has already performed their obligation chooses to relieve the other party from performing their obligation. 
B)  Both parties abandon their original agreement while it is still executory. 
C)  One party leads the other to reasonably believe that strict performance will not be insisted upon. 
D)  A party who has already performed their obligation agrees to relieve the other party from performing their obligation in return for their doing something different. 
A)  A party who has already performed their obligation chooses to relieve the other party from performing their obligation. 
B)  Both parties abandon their original agreement while it is still executory. 
C)  One party leads the other to reasonably believe that strict performance will not be insisted upon. 
D)  A party who has already performed their obligation agrees to relieve the other party from performing their obligation in return for their doing something different.

Question 10

Which of the following is the meaning of the Latin term 'quantum meruit'?

Accepted Answer

A)  As much as the person has earned or as much as they deserve. 
B)  The interpretation of an argument or document in the manner least favourable to the party who put it forward. 
C)  Restoration to the original position. 
D)  Let the buyer beware. 
A)  As much as the person has earned or as much as they deserve. 
B)  The interpretation of an argument or document in the manner least favourable to the party who put it forward. 
C)  Restoration to the original position. 
D)  Let the buyer beware.

Question 11

Describe the quantum meruit rule and when it arises.

Accepted Answer

The quantum meruit rule only arises in c

Question 12

Which of the following involves the discharge of a contract by agreement?

Accepted Answer

A)  One of the parties becomes bankrupt. 
B)  Each party discharges the obligation of the other to perform the contract. 
C)  One of the parties fails to carry out their obligation completely, and the other party accepts this. 
D)  Performance of the contract becomes impossible due to the occurrence of an unforeseen event. 
A)  One of the parties becomes bankrupt. 
B)  Each party discharges the obligation of the other to perform the contract. 
C)  One of the parties fails to carry out their obligation completely, and the other party accepts this. 
D)  Performance of the contract becomes impossible due to the occurrence of an unforeseen event.

Question 13

Where one party is prevented from performing, the other party may regard the contract as at an end.

Accepted Answer

A) True 
 B)False

Question 14

Which of the following will NOT result in the discharge of a contract by operation of law?

Accepted Answer

A)  The merger of a simple contract into a formal contract. 
B)  The death of one of the parties to a contract other than for personal services. 
C)  The material alteration of a written contract without the consent of the other party. 
D)  The bankruptcy of one of the parties. 
A)  The merger of a simple contract into a formal contract. 
B)  The death of one of the parties to a contract other than for personal services. 
C)  The material alteration of a written contract without the consent of the other party. 
D)  The bankruptcy of one of the parties.

Question 15

Which of the following is NOT an example of an assignment of rights by operation of law?

Accepted Answer

A)  Rights against a manufacturer under the Australian Consumer Law. 
B)  Executor of a deceased estate. 
C)  Bankruptcy. 
D)  Assignments under the state property law statutes. 
A)  Rights against a manufacturer under the Australian Consumer Law. 
B)  Executor of a deceased estate. 
C)  Bankruptcy. 
D)  Assignments under the state property law statutes.

Question 16

Which of the following involves the discharge of a contract by frustration?

Accepted Answer

A)  One of the parties becomes bankrupt. 
B)  Each party discharges the obligation of the other to perform the contract. 
C)  One of the parties fails to carry out their obligation completely, and the other party accepts this. 
D)  Performance of the contract becomes impossible due to the occurrence of an unforeseen event. 
A)  One of the parties becomes bankrupt. 
B)  Each party discharges the obligation of the other to perform the contract. 
C)  One of the parties fails to carry out their obligation completely, and the other party accepts this. 
D)  Performance of the contract becomes impossible due to the occurrence of an unforeseen event.

Question 17

Use practical examples to illustrate each of the four circumstances in which incomplete performance of your obligations under a contract legally and fairly gives rise to a right to at least partial payment.

Accepted Answer

The questi

Question 18

The purpose of the Frustrated Contracts Acts of NSW and S.A. is to:

Accepted Answer

A)  Imply terms into the contract to govern the circumstances which have occurred. 
B)  Abolish the doctrine of frustration. 
C)  Adjust the rights of the parties so that there will be a fairer outcome. 
D)  Render all contracts enforceable despite the occurrence of a frustrating event. 
A)  Imply terms into the contract to govern the circumstances which have occurred. 
B)  Abolish the doctrine of frustration. 
C)  Adjust the rights of the parties so that there will be a fairer outcome. 
D)  Render all contracts enforceable despite the occurrence of a frustrating event.

Question 19

When one of the parties fails to perform their obligations under the contract at the time agreed, this is called an:

Accepted Answer

A)  Actual breach. 
B)  Total breach. 
C)  Failure to comply. 
D)  Anticipatory breach. 
A)  Actual breach. 
B)  Total breach. 
C)  Failure to comply. 
D)  Anticipatory breach.

Question 20

In the case of discharge by performance, the parties are discharged from any obligations provided that performance corresponds exactly with the terms of the contract.

Accepted Answer

A) True 
 B)False

Exam 15: Rights and Liabilities of the Parties, Discharge and Remedies

Using case law examples, demonstrate how the doctrine of frustration has evolved over the last 200 years.

The absence of privity of contract will not prevent a claim under the Australian Consumer Law.

Which of the following involves the discharge of a contract by performance?

The decision of the court in Cutter v Powell (1795) 101 ER 573 was that:

If one party indicates that they will not be performing their part of the contract prior to the time for performance, the innocent party must wait until the due date before they can sue for breach.

Why did the court find that the contract was frustrated in the case of: Codelfa Construction Pty Ltd v State Rail Authority (NSW) (1982) 149 CLR 337?

Which of the following involves the discharge of a contract by operation of law?

If there has been substantial performance of the contract, the doctrine of substantial performance may permit the defaulting party to still obtain the contract price.

Which of the following is the best description of discharge by release?

Which of the following is the meaning of the Latin term 'quantum meruit'?

Describe the quantum meruit rule and when it arises.

Which of the following involves the discharge of a contract by agreement?

Where one party is prevented from performing, the other party may regard the contract as at an end.

Which of the following will NOT result in the discharge of a contract by operation of law?

Which of the following is NOT an example of an assignment of rights by operation of law?

Which of the following involves the discharge of a contract by frustration?

Use practical examples to illustrate each of the four circumstances in which incomplete performance of your obligations under a contract legally and fairly gives rise to a right to at least partial payment.

The purpose of the Frustrated Contracts Acts of NSW and S.A. is to:

When one of the parties fails to perform their obligations under the contract at the time agreed, this is called an:

In the case of discharge by performance, the parties are discharged from any obligations provided that performance corresponds exactly with the terms of the contract.

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Origins of Australian Law

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How Law Is Made: Precedentstatute Law

Civil Liability: The Law of Torts and Negligence

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